Turkey still sees strong demand for square billet mostly in the domestic
market, which has helped sellers maintain positions. At the same time, after
granting discounts for a long time, suppliers from abroad are trying to raise
import offers; however, buyers are reluctant to accept the upward moves for
far.
Turkey’s domestic prices for square billet have remained at last week’s level
of $380-395/t EXW depending on region. Metal Expert learns some 10,000 t has
been booked in Marmara at $380-385/t EXW, while in Iskenderun deals have been
made at $390-395/t EXW.
Amid limited supply, CIS semis sellers are trying to push up prices to Turkey
by $5/t week-on-week to $365-370/t CFR. Producers say bids are coming within
$350-355/t CFR. Market participants disagree on further developments in the
import segment. Those who are sure scrap quotes will go up in the first half of
March believe that buyers will accept higher prices for CIS billet. “I think
today Turkish mills may agree to deal at $365/t CFR or even somewhat higher,” a
trader commented to Metal Expert. However, some players believe there is still
a room for prices for raw materials and semis to keep trending down.
Amid competition with CIS plants, export prices for Turkish square billet have
dipped by $5/t to $380-385/t FOB. Inquiries were coming from Egypt and South
America; however, no deals have been reported yet. At the same time, most
Turkish suppliers are not going to bring export prices further down, being able
to sell domestically at an attractive level.
Source: metalexpert-group.com